Growing 30% a year and with a net profit in the last quarter soaring 31%, Assaí is the2 nd largest Brazilian retail company. Stocks will be traded under the “ASAI” ticker starting March 8.
Brazilian retailer Assaí Atacadista starts on March 8 the trading of its American DepositaryShares (ADSs) in the New York Stock Exchange (NYSE), under the “ASAI” ticker. After the split-off from CBD, concluded this month, the self-service retail company will operate moreindependently, focusing on its business model and on its own market opportunities. TheCompany’s board will participate in the symbolic online ceremony celebrating the listing of theADSs on the 9th.
Assaí, controlled by French Group Casino is the second largest retail company in Brazil in grossincome and the only Cash&Carry listed in the Brazilian stock exchange. Assai debuted in thecountry in March 1, 2021. Its stocks soared almost 400% that day. “The NYSE listing represents an opportunity for increasing liquidity, visibility and for Assaí’sshares to increase value in the international market. Also, this is yet another commitment the Company has taken toward a Corporate Governance model more aligned to global goodpractices”, says Gomes, Assaí’s CEO.
Giant in numbers
Assaí recorded net profit of R$299 million in the last quarter of 2020, which represents a 31% increase compared to the same period of 2019, according to the last balance sheet. Even in achallenging year, due to the pandemic and in light of the scenario of the Brazilian economy, the company kept the pace of its expansion and market share gains, creating even more jobs (5 thousand new jobs throughout 2020) –Assaí is today the 10th largest private employer in Brazil. Assaí’s gross income recorded a 30% increase compared to the previous year, ending 2020 with R$39.4 billion, which means R$9 billion more in sales during the space of one year. It alsorecorded a 38.4% EBITDA growth, totaling R$2.7 billion, and over R$1.0 billion in net profits.
Winning model
According to Gomes, the company’s model, combining low prices and serving bothshopkeepers and the end customer, contributed to its success. “The wholesale and retailcombination segment are the channel with the highest participation levels in the supply offood in Brazilian homes and is present in 62% of homes. Assaí is one of the players growing themost, with an annual expansion rate between 28% and 30%”, says Gomes. In the last fiveyears, Assaí has been opening an average of 18 new stores a year– for 2021, there are 28 newones scheduled and another 25 new stores a year until 2023. Today, the company has 184stores located in every region of Brazil.Assaí still is a reference in Brazil for its investments in clean energy. In 2019, 11% of its energyconsumption came from renewable sources, and more than 14 photovoltaic modules areinstalled in eight of the Company’s stores.
Fonte: The Wall Street Journal Online
